There's 100% of a market for the mini... a screen around 7"-8" will spur a lot of portability solutions. Chics will have these in their purses, men will find it even easier to put in their briefcases(& it should be notably lighter)... also, the price point will make these things create a market within themselves. Apple, will eventually make the iPad higher end & bump up the price in years to come while the iPad Mini will be sold heavily mostly due to price point, and may indeed be left out of some features that the iPad will have. Though, I wouldn't doubt the iPad Mini will be the #1 selling tablet in years to come.
Just think about it... new iPhones in September, new iPad Minis in the fall, and then even the new iPads come out in the Spring. Apple wants you to "want/buy" everyone upon release, and they may get some of that 'fanboy' market without a doubt.
I also think new iMacs are coming out this fall due to the low stock with the new processors going through the pipeline now. I am waiting on that more than anything... if an iPad Mini comes out - definitely waiting for the 2nd gen as I do most Apple devices. The one thing I would have never guessed, just happened - The iPod Touch now has colors... I thought they would never do this, because Apple has/will never stock an item plain & simple(even though this is extremely hard/rare).
I do think some of these colored Touches will be left collecting dust on the shelves of many stores... and the iPad Mini will sell like no other tablet on launch/debut.
Apple will make a Mini, I mainly believe this, because of a price point that Apple can easily fit in. They will completely crush the tablet market, and no one will compete. They can outlast the competition in the tablet market just like they saturated the mp3 market. SJ did say they would never come out with a smaller iPad, but SJ has been known how to establish markets, and release the bigger one initially might have been best for the market he made indefinitely.
The Mini is coming... 😎